New chief of South Korean financial watchdog to go softer on cryptocurrency market

uk-heun has a reputation of a reformist in South Korea and hence is expected to come with changes which will have a positive impact on the industry.

After months of scrutiny, South Korea may soften its stance towards cryptocurrency market. The newly appointed head of a South Korean financial watchdog has indicated that his agency may ease the rules for exchanges.

Yoon Suk-heun, the incoming governor of the Financial Supervisory Service (FSS), said, “Regarding cryptocurrencies, there are some positive aspects.”

According to a report in Korea Times, although he declined to delve into details about his possible steps, Suk-heun said he would improve regulations and try to produce a more stable financial system with better services and products.

He added that these regulatory processes will take some time to be finalised. “There are a lot of issues that need to be addressed and reviewed. We can figure them out but gradually,” he said.

Suk-heun has a reputation of a reformist in South Korea and hence is expected to come with changes which will have a positive impact on the industry.

At the end of the last year, amid a surging cryptocurrency market, the FSS cracked down on the market mandating real-name verification of exchange users as of the end of January 2018.

Multiple events of hacking and mishandling of funds in South Korea and Japan did not help the market either. The national watchdog started conducting raids at the exchanges to ensure they were complying with the anti-money laundering rules. The practice continues till now.